CoinMarketCap: Understanding the largest coin tracking site

CoinMarketCap: When you are getting started with cryptocurrencies, you need a tool that helps you to analyze different crypto coins. A platform that is reliable and convenient. One such platform is CoinMarketCap and many times you will see people quoting it. If upon visiting the website you find the information too cumbersome to understand, you don’t have to panic. In this guide, we will have a look at what Coin Market Cap is and how you can use the data displayed on the website effectively.

What is

CoinMarketCap is a website that tracks capitalizations for various cryptocurrencies. It provides data on cryptocurrency trading volume, supply, price, exchange platforms and other relevant information about various digital assets. The CoinMarketCap provides up to date information on the crypto market with statistics refreshing after every 5 minutes. The platform calculates market capitalization by multiplying the price by the total supply. Calculation of Prices occurs by averaging the prices on all significant crypto exchanges weighted by volume. Coins that have stale data points which are more than 6 hours old are shown at the bottom of the list with question marks. If this doesn’t change, they are de-listed after seven days. The CoinMarketCap website design is easy to use. It offers a wide range of tools, data, and graphs that beginners and expert traders can use.

CoinMarketCap Main Page

When you visit, the first thing you will notice is the list of the top 100 crypto coins by market capitalizations. The table will display the name of the token, its market capitalization, its price, its volume, its circulating supply, the change it has experienced in the past 24 hours and a graph that shows the coin’s performance over the past seven days.

How to use data displayed on the website

The first column of the table as you see above shows the name of coins and tokens. For those who are wondering what the difference is between the two a coin and a Token. A coin is a cryptocurrency that has its own blockchain and runs independently. Bitcoin, for example, is a coin as it runs on its own blockchain. Another such blockchain is Ethereum, a blockchain which offers smart contracts and a good platform for developing tokens. But, a token is a coin that initially depends on another blockchain. In 2017, Ethereum was one of the most popular blockchains through which tokens were developed. In 2017, we saw a spike in ICOs and most were developed with the use of Ethereum. There is also an option to exclude tokens/coins from the list by clicking on the cryptocurrencies tab. Here you will see different filters that offer the display you desire like an option to view only minable coins. The next column is the market cap. It displays the total value of a cryptocurrency and ranks coins according to the one with the highest amount to the one with the least. It is an essential unit when evaluating different crypto coins.

Price, Circulating Volume and 24-hour volume

The next three columns include the price, the circulating volume, and the 24-hour volume. Price shows the current value of the coin and volume indicates the worth of the amount of a cryptocurrency that has been traded within 24 hours. By clicking the volume number of a given coin, you will get to see the list of all exchanges where most of the trading has taken place. The circulating supply shows the total amount of crypto coins that are in public hands at that given moment. You can Visit this link to get a better understanding of market cap, volume, and supply. A 7-day bitcoin trading chart on CoinMarketCap  The next two columns include 24-hour change and a 7-day price graph. The 24 hours value change tells if the value of a coin has increased or decreased in the past 24 hours. The CoinMarketCap price graph charts the movement of the price of the cryptocurrency over the past seven days. Also, the base currency is displayed in USD by default. However, you can change this to either BTC, ETH, XRP, BCH or LTC.

Criteria for listing coins/tokens on CoinMarketCap

There are a few necessary steps you need to fulfill for the listing of a cryptocurrency to occur on CoinMarketCap.

  • The token must be a cryptocurrency or a crypto token.
  • It must be listed on a public exchange that has an API which reports the last 24-hour trading volume and the final traded price.
  • The coin/token must have a non-zero trading volume on at least one supported crypto exchange as this helps determine a price.
  • Must have an accurate circulating supply to help determine market cap ranking.

If the cryptocurrency meets the above requirements of CoinMarketCap, then one can fill a request form to get it listed. As of the time of writing, CoinMarketCap has 2017 crypto coins/tokens listed.

CoinMarketCap Community

CoinMarketCap recently announced the launch of their official Telegram group. Their main for this launch is to connect the crypto community with another platform where news and updates in the industry can be shared. Joining the group, all you need to do is to download the Telegram app from either the app store or Google play store. Then you will have to search ” CoinMarketCap Community ” on the search bar or you can click on to join the group directly. However, they have a blog where news updates can be found, interviews with top players in the industry and educational content can also be assessed from there. They also have other official social media platforms such as an official Facebook page, a Twitter account, and a LinkedIn page.

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